Issue - items at meetings - Council Tax Reduction Scheme 2023/24

REPORT OF THE SERVICE DIRECTOR – CUSTOMERS

To provide an update on the progress that has been made so far on the full review of the Council Tax Reduction Scheme. The review is one of the Councils key projects for 2022/23 included in the Council Delivery Plan

RESOLVED:

(1) That Cabinet noted that a full review of the Council Tax Reduction Scheme is well underway and that consultation with the public and Major Precepting Authorities will run for six weeks from 14 September 2022.

(2) That Cabinet noted the progress made so far on the review and that the intention is to introduce a new banded scheme for working age applicants from 01 April 2023.

(3) That Cabinet noted the aim of the review is to introduce a new scheme that will:

a. enable us to increase the overall level of support for the lowest income households;

b. reduce the administrative burden placed on the Council following the introduction of Universal Credit whilst also;

c. make the scheme easier for our customers to understand and calculate entitlement.

(4) That Cabinet noted that modelling the new scheme may increase the costs from those of the current scheme, any increase will be split between the Council and its Major Precepting Authorities. The Councils share will be 12.5%.

REASONS FOR DECISIONS: To ensure that the Council has a fit for purpose Council Tax Reduction Scheme that:

a. Provides the greatest support to the lowest income households.

b. Reduces the administrative burden that has been placed on the Council since the introduction of Universal Credit (UC).

c. Is simple to understand, meaning that customers will be able to calculate entitlement and assess the impact of potential changes in circumstances.

Audio recording – 101 minutes 46 seconds

The Executive Member for Finance and IT presented the report entitled ‘Council Tax Reduction Scheme 2022/23’, alongside the referral from Finance, Audit and Risk Committee, and advised of the following:

· The comments provided by Finance, Audit and Risk Members were welcomed and they supported the principles of the scheme.

· The scheme proposed here is not common amongst other authorities and Finance, Audit and Risk requested the ability to review this once implemented.

· The Council Tax Reduction scheme had not been fully reviewed since 2013.

· There was expected to be an increase in costs and this was being consulted with Preceptors involved.

· The recommendation also includes a requirement to hold a public consultation, which would take place alongside key partners, such as Citizens Advice.

· A number of iterations had been explored and this would be further reviewed before the proposals are brought back to Cabinet in December, and then onto Council in January 2023 for consideration.

Councillor Ruth Brown thanked the Executive Member and all Officers who had worked on this proposed scheme. She supported the aims of the scheme to provide further support for those most in need and simplifying the process, and anything the Council can do to support the lowest income families should be done. She noted that the impact of the cost of living had been highlighted at the North Herts Citizens Advice AGM.

Councillor Judi Billing advised that she and Councillor Albert had met with representatives from North Herts Citizens Advice, who had provided updates on where the support was most needed.

Councillor Ian Albert proposed and Councillor Judi Billing seconded and, following a vote, it was: